VINCI SA (DG.PA) Stock Fundamental Analysis
Europe - Euronext Paris - EPA:DG - FR0000125486 - Common Stock
117.55 EUR
0 (0%)
DG gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 43 industry peers in the Construction & Engineering industry. DG has a medium profitability rating, but doesn't score so well on its financial health evaluation. DG has a correct valuation and a medium growth rate. DG also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- DG had positive earnings in the past year.
- DG had a positive operating cash flow in the past year.
- DG had positive earnings in each of the past 5 years.
- Each year in the past 5 years DG had a positive operating cash flow.
1.2 Ratios
- The Return On Assets of DG (3.65%) is comparable to the rest of the industry.
- With a Return On Equity value of 16.65%, DG perfoms like the industry average, outperforming 51.16% of the companies in the same industry.
- DG's Return On Invested Capital of 8.34% is in line compared to the rest of the industry. DG outperforms 46.51% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for DG is below the industry average of 11.17%.
- The 3 year average ROIC (7.75%) for DG is below the current ROIC(8.34%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.65% | ||
| ROE | 16.65% | ||
| ROIC | 8.34% |
ROA(3y)3.84%
ROA(5y)3.09%
ROE(3y)16.46%
ROE(5y)13.34%
ROIC(3y)7.75%
ROIC(5y)6.34%
1.3 Margins
- DG has a better Profit Margin (6.49%) than 62.79% of its industry peers.
- DG's Profit Margin has been stable in the last couple of years.
- DG has a better Operating Margin (12.00%) than 81.40% of its industry peers.
- In the last couple of years the Operating Margin of DG has remained more or less at the same level.
- Looking at the Gross Margin, with a value of 78.92%, DG belongs to the top of the industry, outperforming 88.37% of the companies in the same industry.
- DG's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12% | ||
| PM (TTM) | 6.49% | ||
| GM | 78.92% |
OM growth 3Y10.35%
OM growth 5Y1.22%
PM growth 3Y8.91%
PM growth 5Y0.07%
GM growth 3Y-0.11%
GM growth 5Y-0.08%
2. Health
2.1 Basic Checks
- DG has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- The number of shares outstanding for DG has been reduced compared to 1 year ago.
- DG has more shares outstanding than it did 5 years ago.
- Compared to 1 year ago, DG has a worse debt to assets ratio.
2.2 Solvency
- Based on the Altman-Z score of 1.27, we must say that DG is in the distress zone and has some risk of bankruptcy.
- With a Altman-Z score value of 1.27, DG is not doing good in the industry: 74.42% of the companies in the same industry are doing better.
- DG has a debt to FCF ratio of 5.37. This is a neutral value as DG would need 5.37 years to pay back of all of its debts.
- DG has a Debt to FCF ratio of 5.37. This is in the better half of the industry: DG outperforms 62.79% of its industry peers.
- DG has a Debt/Equity ratio of 1.19. This is a high value indicating a heavy dependency on external financing.
- The Debt to Equity ratio of DG (1.19) is worse than 65.12% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.19 | ||
| Debt/FCF | 5.37 | ||
| Altman-Z | 1.27 |
ROIC/WACC1.32
WACC6.33%
2.3 Liquidity
- A Current Ratio of 0.83 indicates that DG may have some problems paying its short term obligations.
- With a Current ratio value of 0.83, DG is not doing good in the industry: 88.37% of the companies in the same industry are doing better.
- A Quick Ratio of 0.80 indicates that DG may have some problems paying its short term obligations.
- DG has a Quick ratio of 0.80. This is in the lower half of the industry: DG underperforms 79.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.83 | ||
| Quick Ratio | 0.8 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 45.79% over the past year.
- DG shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.69% yearly.
- The Revenue has been growing slightly by 3.21% in the past year.
- DG shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.25% yearly.
EPS 1Y (TTM)45.79%
EPS 3Y23.18%
EPS 5Y7.69%
EPS Q2Q%-3.47%
Revenue 1Y (TTM)3.21%
Revenue growth 3Y13.18%
Revenue growth 5Y8.25%
Sales Q2Q%3.19%
3.2 Future
- DG is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.42% yearly.
- Based on estimates for the next years, DG will show a small growth in Revenue. The Revenue will grow by 3.67% on average per year.
EPS Next Y4.4%
EPS Next 2Y8.11%
EPS Next 3Y7.9%
EPS Next 5Y5.42%
Revenue Next Year3.93%
Revenue Next 2Y3.34%
Revenue Next 3Y3.26%
Revenue Next 5Y3.67%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 14.15, DG is valued correctly.
- Based on the Price/Earnings ratio, DG is valued a bit cheaper than the industry average as 60.47% of the companies are valued more expensively.
- Compared to an average S&P500 Price/Earnings ratio of 27.21, DG is valued a bit cheaper.
- Based on the Price/Forward Earnings ratio of 11.93, the valuation of DG can be described as reasonable.
- Based on the Price/Forward Earnings ratio, DG is valued a bit cheaper than the industry average as 62.79% of the companies are valued more expensively.
- The average S&P500 Price/Forward Earnings ratio is at 24.26. DG is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.15 | ||
| Fwd PE | 11.93 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, DG is valued a bit cheaper than the industry average as 65.12% of the companies are valued more expensively.
- Based on the Price/Free Cash Flow ratio, DG is valued a bit cheaper than the industry average as 74.42% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.41 | ||
| EV/EBITDA | 6.9 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- The decent profitability rating of DG may justify a higher PE ratio.
PEG (NY)3.21
PEG (5Y)1.84
EPS Next 2Y8.11%
EPS Next 3Y7.9%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 4.09%, DG is a good candidate for dividend investing.
- DG's Dividend Yield is a higher than the industry average which is at 2.48.
- Compared to an average S&P500 Dividend Yield of 1.82, DG pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.09% |
5.2 History
- The dividend of DG is nicely growing with an annual growth rate of 10.84%!
Dividend Growth(5Y)10.84%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
- 56.13% of the earnings are spent on dividend by DG. This is a bit on the high side, but may be sustainable.
- DG's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP56.13%
EPS Next 2Y8.11%
EPS Next 3Y7.9%
VINCI SA / DG.PA FAQ
Can you provide the ChartMill fundamental rating for VINCI SA?
ChartMill assigns a fundamental rating of 4 / 10 to DG.PA.
Can you provide the valuation status for VINCI SA?
ChartMill assigns a valuation rating of 5 / 10 to VINCI SA (DG.PA). This can be considered as Fairly Valued.
How profitable is VINCI SA (DG.PA) stock?
VINCI SA (DG.PA) has a profitability rating of 6 / 10.
What is the earnings growth outlook for VINCI SA?
The Earnings per Share (EPS) of VINCI SA (DG.PA) is expected to grow by 4.4% in the next year.
Can you provide the dividend sustainability for DG stock?
The dividend rating of VINCI SA (DG.PA) is 7 / 10 and the dividend payout ratio is 56.13%.